diff --git a/python/__init__.py b/python/__init__.py
new file mode 100644
index 00000000..e69de29b
diff --git a/python/gilded_rose.py b/python/tests/gilded_rose.py
old mode 100755
new mode 100644
similarity index 100%
rename from python/gilded_rose.py
rename to python/tests/gilded_rose.py
diff --git a/python/tests/test_gilded_rose.py b/python/tests/test_gilded_rose.py
index 1c92f638..89de7fa4 100644
--- a/python/tests/test_gilded_rose.py
+++ b/python/tests/test_gilded_rose.py
@@ -1,16 +1,117 @@
 # -*- coding: utf-8 -*-
 import unittest
+from hashlib import file_digest
 
 from gilded_rose import Item, GildedRose
 
+BACKSTAGE = 'Backstage passes to a TAFKAL80ETC concert'
+SULFURAS = 'Sulfuras, Hand of Ragnaros'
+AGED_BRIE = 'Aged Brie'
 
 class GildedRoseTest(unittest.TestCase):
-    def test_foo(self):
-        items = [Item("foo", 0, 0)]
-        gilded_rose = GildedRose(items)
-        gilded_rose.update_quality()
-        self.assertEqual("fixme", items[0].name)
 
-        
+    def check_item_values(self, item, name, sell_in, quality):
+        self.assertEqual(item.name, name)
+        self.assertEqual(item.sell_in, sell_in)
+        self.assertEqual(item.quality, quality)
+
+    def update_gilded_rose_days(self, gilded_rose, days):
+        for day in range(days):
+            gilded_rose.update_quality()
+
+    def generate_and_update_gilded_rose(self, items, days):
+        gilded_rose = GildedRose(items)
+        self.update_gilded_rose_days(gilded_rose, days)
+        return gilded_rose
+
+    def test_foo_1day(self):
+        items= [Item('foo', 1, 1)]
+        self.generate_and_update_gilded_rose(items, 1)
+        self.check_item_values(items[0], 'foo', 0, 0)
+
+    def test_foo_multiple_days(self):
+        items= [Item('foo', 2, 3)]
+        self.generate_and_update_gilded_rose(items, 2)
+        self.check_item_values(items[0], 'foo', 0, 1)
+
+    def test_quality_nonnegative(self):
+        items = [Item("foo", 2, 0)]
+        self.generate_and_update_gilded_rose(items, 1)
+        self.check_item_values(items[0], "foo", 1, 0)
+
+    def test_after_sellby_date(self):
+        items = [Item("foo", 2, 10)]
+        gilded_rose = self.generate_and_update_gilded_rose(items, 2)
+        self.check_item_values(items[0], "foo", 0, 8)
+        self.update_gilded_rose_days(gilded_rose, 2)
+        self.check_item_values(items[0], "foo", -2, 4)
+
+    def test_aged_brie_4_days(self):
+        items = [Item(AGED_BRIE, 2, 10)]
+        gilded_rose = self.generate_and_update_gilded_rose(items, 2)
+        self.check_item_values(items[0], AGED_BRIE, 0, 12)
+        self.update_gilded_rose_days(gilded_rose, 2)
+        self.check_item_values(items[0], AGED_BRIE, -2, 16)
+
+    def test_aged_brie_max_quality(self):
+        items = [Item(AGED_BRIE, 15, 40)]
+        gilded_rose = self.generate_and_update_gilded_rose(items, 10)
+        self.check_item_values(items[0], AGED_BRIE, 5, 50)
+        self.update_gilded_rose_days(gilded_rose, 6)
+        self.check_item_values(items[0], AGED_BRIE, -1, 50)
+
+    def test_sulfuras(self):
+        items = [Item(SULFURAS, 10, 30)]
+        self.generate_and_update_gilded_rose(items, 50)
+        self.check_item_values(items[0], SULFURAS, 10, 30)
+
+    def test_backstage_passes_15_to_10_days(self):
+        items = [Item(BACKSTAGE, 15, 0)]
+        self.generate_and_update_gilded_rose(items, 5)
+        self.check_item_values(items[0], BACKSTAGE, 10, 5)
+
+    def test_backstage_passes_10_to_5_days(self):
+        items = [Item(BACKSTAGE, 10, 0)]
+        self.generate_and_update_gilded_rose(items, 5)
+        self.check_item_values(items[0], BACKSTAGE, 5, 10)
+
+    def test_backstage_passes_5_to_0_days(self):
+        items = [Item(BACKSTAGE, 5, 0)]
+        self.generate_and_update_gilded_rose(items, 5)
+        self.check_item_values(items[0], BACKSTAGE, 0, 15)
+
+    def test_backstage_passes_after_concert(self):
+        items = [Item(BACKSTAGE, 1, 10)]
+        gilded_rose = self.generate_and_update_gilded_rose(items, 1)
+        self.check_item_values(items[0], BACKSTAGE, 0, 13)
+        self.update_gilded_rose_days(gilded_rose, 1)
+        self.check_item_values(items[0], BACKSTAGE, -1, 0)
+
+    def test_multiple_items_different_sellin_1day(self):
+        items = [Item("foo", 0, 0), Item("bar", 1, 1), Item("baz", 2, 2)]
+        self.generate_and_update_gilded_rose(items, 1)
+        self.check_item_values(items[0], "foo", -1, 0)
+        self.check_item_values(items[1], "bar", 0, 0)
+        self.check_item_values(items[2], "baz", 1, 1)
+
+    def test_all_items_15_days(self):
+        items = [Item("foo", 10, 10), Item(SULFURAS, 10, 10), Item(BACKSTAGE, 10, 10), Item(AGED_BRIE, 10, 10)]
+        gilded_rose = self.generate_and_update_gilded_rose(items, 5)
+        self.check_item_values(items[0], "foo", 5, 5)
+        self.check_item_values(items[1], SULFURAS, 10, 10)
+        self.check_item_values(items[2], BACKSTAGE, 5, 20)
+        self.check_item_values(items[3], AGED_BRIE, 5, 15)
+        self.update_gilded_rose_days(gilded_rose, 5)
+        self.check_item_values(items[0], "foo", 0, 0)
+        self.check_item_values(items[1], SULFURAS, 10, 10)
+        self.check_item_values(items[2], BACKSTAGE, 0, 35)
+        self.check_item_values(items[3], AGED_BRIE, 0, 20)
+        self.update_gilded_rose_days(gilded_rose, 5)
+        self.check_item_values(items[0], "foo", -5, 0)
+        self.check_item_values(items[1], SULFURAS, 10, 10)
+        self.check_item_values(items[2], BACKSTAGE, -5, 0)
+        self.check_item_values(items[3], AGED_BRIE, -5, 30)
+
+
 if __name__ == '__main__':
     unittest.main()
diff --git a/python/texttest_fixture.py b/python/texttest_fixture.py
index 8f7e4940..3b83658c 100644
--- a/python/texttest_fixture.py
+++ b/python/texttest_fixture.py
@@ -1,7 +1,7 @@
 # -*- coding: utf-8 -*-
 from __future__ import print_function
 
-from gilded_rose import *
+from python.tests.gilded_rose import *
 
 
 def main():